Milwaukee Tool sued for alleged use of forced labor in Chinese prison factory

Milwaukee Tool has been sued for allegedly having work gloves made by forced labor in a Chinese prison factory under deplorable conditions which included beatings and torture.

The lawsuit filed Thursday in U.S. District Court in Milwaukee claims the Brookfield-based company knew, or should have known, the gloves were made with forced labor, a violation of the U.S. Trafficking Victim Protection Act.

The plaintiff is only identified under the pseudonym Xu Lun, who in July 2021 was convicted of “subversion of state power,” a charge commonly used by the Chinese government to target activists and human rights campaigners.  His real name was withheld from the lawsuit out of fears for his safety, according to the law firm Farra & Wang, of Washington, D.C., which brought the action.

For five months in 2022, Xu Lun was subject to forced labor in the prison factory which allegedly made work gloves bearing the “Milwaukee Tool” logo, according to the suit.

Xu Lun was assigned to sorting fabric, thread cutting, gluing, ironing and quality control, the suit noted. The workdays were up to 13 hours. Prisoners were only allowed a 10-minute break in the morning, a 25-minute break for lunch, and a 10-minute break in the afternoon. They were only permitted up to three days off per month.

“The factories had no air conditioning or heating, and the prisoners were subjected to severe weather conditions,” the suit claims. “The summer months were particularly brutal, with extreme heat and humidity, and poor ventilation. Many prisoners developed eczema and other skin ailments in the hot and humid factories.”

The factories were also laden with fabric dust so severe that prisoners were required to wash it off before they were allowed to take showers. The constant exposure to dust caused respiratory health issues for many of the prisoners, according to the suit.

The facilities were cramped, making it difficult for the prisoners to work comfortably or safely. Some developed health issues such hemorrhoids and prostatitis from long periods of sitting without breaks.

There were workplace injuries caused by the machinery, including fingers punctured by the embroidering machinery, the lawsuit claims.

Lawsuit: workers threatened, punished for not working hard enough

Xu Lun alleged he regularly witnessed fellow inmates being threatened and punished when they refused to work, didn’t work hard enough, or did not meet production quotas.

“Punishment included being forced to stand or squat for long periods of time, being banned from visitation with family, being banned from buying goods with their money, and being forbidden to use the bathroom,” the suit notes.

“More severe punishment included being sent to the high-security section of the prison, being placed in solitary confinement, being forced to walk while squatting, and being woken up every hour with a roll call. The most severe punishment included beatings and electric shocks with electric rods,” according to the suit. “The experience of being exploited and forced into grueling work was humiliating and dehumanizing,” it said.

The Milwaukee Tool products made in the prison were the “Demolition” gloves and “Winter Demolition” gloves, the “Performance” and “FreeFlex” gloves, according to the suit.

“When the gloves came on the market, Milwaukee Tool heavily touted the fact that, unlike other companies that might just use an original equipment manufacturer (OEM), Milwaukee Tool was different. Rather than rely on others for design and manufacturing, Milwaukee Tool differentiated its glove offerings by touting Milwaukee Tool’s ownership of the design and manufacturing processes,” the suit claims.

Milwaukee Tool declined comment on the lawsuit.

"However, Milwaukee Tool takes allegations regarding the use of forced labor by a supplier very seriously and does not endorse such practices. We empathize deeply with those affected by such practices and remain committed to ensuring ethical standards throughout our operations," the company said in a statement to the Journal Sentinel.

"As we have previously stated, despite rigorous investigations, Milwaukee Tool has found no evidence of forced labor in the production of our gloves. Our commitment to transparency and accountability is underscored by multiple independent third-party and internal audits, none of which found any indication of such practices.  Milwaukee Tool considers the claim without merit and the accusations will be vigorously defended," it added.

Congress held hearings about human rights in China

Last July, a congressional commission examining human rights issues in China turned its attention to the company's reported connections to forced labor as it examined "corporate complicity" in abuses linked to the Chinese Communist Party. In a hearing, the wife of a man in a prison where gloves reportedly were made, described the working conditions and railed against what she called Milwaukee Tool's "disregard for human rights" and called on Congress to act.

Those gloves could have been fakes, according to the company.

"As part of the investigations, Milwaukee Tool found multiple examples of unauthorized, counterfeit gloves originating in China and bearing the Milwaukee-brand name, which supports the likelihood that the gloves in question could be examples of unauthorized, counterfeit gloves," it said in Thursday's statement.

Xu Lun worked for a non-governmental organization that advocated for the rights of vulnerable groups in China including persons with AIDs, hepatitis B, and people with disabilities. The suit doesn’t specify damages sought, but the Trafficking Victim Protection Act allows victims of forced labor to file a civil action against companies that knowingly benefited from the practice.   

Milwaukee Tool is owned by Hong Kong-based Techtronic Industries, which is also named in the suit. The company has manufacturing in the United States, China, Vietnam, Germany and the United Kingdom.